Fresno Unified cuts hundreds of positions despite $52 million state boost

Fresno Unified School District got $52.5 million in new state money. It cut hundreds of jobs anyway.

The extra funding — $33 million ongoing, $19.5 million one-time — shrank the district’s projected deficit from $59 million to $23 million for this school year. But the layoff notices already went out in May. 229 positions gone: counselors, psychologists, campus safety staff, intervention specialists. Mental health took the biggest hit.

Students came back to school Monday with fewer people on campus to help them.

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The $23 million hole is what’s left after the state stepped in. The real problem runs deeper. Enrollment’s down 2,700 students since 2021-22. Special education costs jumped $10 million in one year. The district estimates it loses $17,000 per student who leaves.

Special education’s the biggest cost driver. More students getting identified, more intensive services required — behavioral support, mental health, specialized transportation, nursing. The state’s kicking in an extra $21 million for special ed specifically, but the district won’t say whether that money buys new services or just covers what’s already there.

Instead of hiring back the mental health staff it cut, Fresno Unified moved people around. Clinical school social workers kept their jobs by switching into “education-related mental health service providers” for students with disabilities — serving kids whose individualized education programs legally require it, instead of being available for everyone else.

“As a school social worker at Tenaya Middle School, I was there when families had questions and they needed to meet with me, or when students were having a panic attack or a problem with their friends,” said Abigail Arii, the district’s Student Support Services Director. “I was physically there, able to be there with them. That is some of the shift.”

That shift means fewer adults on site when a kid needs help and the need isn’t in an IEP.

The district says it’s “cross-departmental collaboration.” It’s also counting on community partnerships to fill the gaps its own staff used to handle.

Fresno Unified’s reserves — the money set aside for emergencies — total $92.1 million, well above the state’s 2% minimum. That’s about 5% of the district’s spending, or roughly two weeks of operating costs. The national standard is 17%, enough to cover two months.

Reserves are one-time money. They don’t fix an ongoing deficit.

The district’s planning more cuts for next year and the year after. The state money lowered the planned 2027-28 reductions by $25 million — meaning there are still reductions planned, just smaller ones.

And bargaining with the teachers union starts now. Sacramento City and Oakland Unified both signed multimillion-dollar teacher contracts recently despite county warnings they couldn’t afford them. Michael Fine, CEO of California’s Fiscal Crisis and Management Assistance Team, said that’ll bring “a little bit more pressure to the district than they’ve experienced recently.”

Fresno Unified’s not under state or county intervention yet. But declining enrollment, rising costs, and a structural deficit don’t fix themselves.

The Breakdown

• State funding gave Fresno Unified $52.5 million ($33 million ongoing, $19.5 million one-time), cutting the projected deficit from $59 million to $23 million for 2026-27.
• The district eliminated 229 positions in May — counselors, psychologists, campus safety, intervention specialists — before the state money arrived. Those cuts stood even after the deficit shrank.
• Special education costs jumped $10 million in one year, driven by more students requiring services and more intensive support needs. The state added $21 million in special ed funding.
• Mental health staff were moved into positions serving only students with disabilities whose IEPs legally require it, rather than being available to all students.
• Enrollment has declined 2,700 students since 2021-22. The district estimates losing $17,000 per student.
• Reserves total $92.1 million (about 5% of spending, or two weeks of costs). The national standard is 17% (two months of costs).

What This Means for You

The district eliminated hundreds of positions even after receiving tens of millions in additional state funding — a choice that directly affects whether students have access to a counselor, psychologist, or mental health support on campus. The next round of cuts is already being planned for 2027-28.

What to Watch

The district is heading into teacher contract negotiations right now, with reserves that cover about two weeks of costs and a deficit it hasn’t closed. Sacramento City and Oakland Unified both signed expensive teacher contracts recently despite being warned they couldn’t afford them. Source 1 notes those contracts are adding to deficits in those districts.

Enrollment has declined 2,700 students in four years, which means less revenue for the district.